BioNTech set to earn $310 million near term under deal with Genentech

Privately-held German biotech firm BioNTech has entered into a worldwide strategic collaboration with Genentech, a subsidiary of Swiss pharma giant Roche (ROG: SIX), to develop, manufacture and commercialize novel messenger RNA (mRNA)-based, individualized cancer vaccines.

Under this accord, Genentech – which is tapping into the promise of messenger RNA for building personalized cancer vaccines - will make upfront and near-term payments of $310 million to the German firm, which it says is one of the largest upfront payments ever received by a European biotech company. The collaboration also includes significant co-development and profit-sharing elements, as well as certain manufacturing rights for BioNTech.

This follows on from BioNTech’s landmark agreements with Genmab ($5 million upfront), Eli Lilly ($30 million fee on signing a potential for $300 million in development milestones) and Sanofi ($60 million in upfront and near-term milestones and potentially worth $1.5 billion) in last 12-18 months.